HAIFA, ISRAEL – Israeli defense contractor Elbit Systems is expected to pay between $500 million and $530 million for weapons manufacturer Israeli Military Industries, according to published reports.

The Israeli Finance Ministry’s accountant general, Rony Hizkiyahu, is leading negotiations, reportedly in its final stages.

In November, Elbit reported higher net income and an increase in its backlog of orders for the third quarter, driven by growing defense budgets.

In December, Elbit reported a $74 million, 13-year contract with the Israeli Defense Ministry to establish and operate a flight simulator training center for the Israeli Air Force, in addition to a $46 million contract with NATO.